Cannabis Business License

Cannabis Business License

Following the legalization of cannabis in Thailand, new opportunities have emerged for businesses in this growing industry. This favorable market comes with supportive regulations, but it’s crucial for businesses to understand the regulatory framework, the application process, and key considerations when entering the Thai cannabis market, including the types of cannabis activities and required licenses.

Business Licenses
Cannabis Business License at a glance
Eligible Activities

Eligible cannabis business activities in Thailand include importing seeds, producing cannabis products, extracting cannabis for medical and academic purposes, cultivating cannabis, and distribution

Cannabis Business Licences

Cannabis businesses require business licences/certificates to operate legally. The main licences are: Cultivation/Growing Licence, Import/Export Licence and Distribution Licence.

THC Levels

Cannabis extracts with more than 0.2% THC are considered a narcotic substance. Therefore, any items to be produced or sold must be 0.2% THC or less.

Why work with VB and Partners?

Embarking on a business venture, especially in a foreign land, can appear overwhelming. At VB & Partners, we understand this challenge and our experts are ready to assist with your needs. Our comprehensive range of services covers every step, from initial business feasibility assessments to complete incorporation and the start of your business operations.

Navigating local laws and regulations is a paramount concern for foreign enterprises. Our tailored solutions alleviate this complexity, ensuring unwavering adherence to legal mandates. Backed by a team well-versed in the intricacies of the Thai market and regulations, ensuring the smooth operation of your business.

VB & Partners takes pride in its assembly of seasoned experts. Ranging from Incorporation, Accounting & Secretary Services to Immigration and Real Estate, VB & Partners stands as your premier destination for all your legal and accounting needs.

What does this package include

  • Document Preparation: Our experts will work closely with you to obtain and collate all the required documents and complete the application forms ready for submission.
  • Submitting the Application: Our experts will submit the application to the local government office. We will also liaise with the officers through the consideration and review process to ensure complete awareness of the application status.
  • Collection of the Cannabis Business Licence: Our experts will collect the documents on your behalf once the Licence has been approved and issued.
  • Post-approval procedure: Our experts will keep you up-to-date with any compliance requirements.
  • Answering questions concerning the Cannabis Business Licence.
In addition to the aforementioned requirements, please note that additional documentation may be necessary during the application process.
Icone 03
Cannabis Business License
Madatory for companies distributing Cannabis products
Licence is valid for 3 years
5 Business Days
Get Started

Excluding official fees and transportation fees

Price: + 7% VAT

What you must know before applying

Generally, The timeline to obtain the distribution license varies depending on the province in which the shop will be located. As of today, it takes between 30 days to 4 months.
Company Structure
Generally, cannabis businesses can only be undertaken by a Thai company (a company registered in Thailand with Thai shareholder(s) owning more than 50% of the share capital).
Importing Cannabis Seeds
You can only import certain parts of the cannabis plant e.g. the seeds and stem. Production is subject to licence requirements from the Plant Quarantine Department.
Distributing Cannabis
The sale of cannabis flowers/leaves is subject to obtaining a cannabis distribution licence. Other parts of the cannabis plant, such as seeds or the stem, will require the business a controlled seed distribution licence.
Licences for distribution, export, and processing are valid for three years. Licences can be renewed 60 days before the expiration. As it stands, the licence for the production of cannabis does not have a fixed validity period and will not expire.
Products that contain cannabis
When selling food, drinks, or cosmetics that contain cannabis extract, the product must not contain more than 0.2% THC, as required by the law. No cannabis-related license is required for businesses manufacturing or selling such products.

Book a Call with our expert

Up to an hour consultation on setting up a company with the Cannabis industry in Thailand

We will provide you with information on key areas such as; company structure, taxes, accounting and other general aspects of opening a company in Thailand. We will also answer any other legal questions you may have to provide you with a clear overview.

If some extra research is necessary to answer your questions, our experts will check and revert to you with complementary elements by email.

This consultation is provided by legal experts in English or in French.

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Frequently Asked Question

Can I start a Cannabis Business in Thailand?

Yes, you can start a cannabis business in Thailand. However, as a foreigner, you are required to establish a Thai Limited Company with at least 50% of the share capital owned by Thai shareholders. Nominee shareholders are prohibited.

Can a foreigner grow cannabis in Thailand?

No, only Thai nationals are allowed to grow cannabis plants in Thailand. However, individuals can register their plants through the ‘Plookganja’ website or application to obtain a growing license on behalf of stakeholders.

Do I need a licence to grow cannabis in Thailand?

Yes, you need a cannabis production license from the Thai FDA to cultivate cannabis in Thailand. Each cultivation site requires a separate license.

Can I export Cannabis to Thailand?

Yes, you can export cannabis flowers from Thailand, but it is restricted to medical marijuana and subject to strict criteria. Importing other parts of the cannabis plant is not possible.

How to start a Cannabis business in Thailand?

To start a cannabis business in Thailand, you need to establish a Thai Limited Company with Thai shareholders owning at least 50% of the share capital. You must obtain the necessary licenses depending on the activities you plan to undertake, such as cultivation, distribution, processing, or import/export.

Is CBD illegal in Thailand?

CBD (cannabidiol) is legal in Thailand as long as the products contain less than 0.2% THC. However, it is important to comply with other licensing and regulatory requirements, such as obtaining a food production license from the Thai FDA, when manufacturing or selling CBD products.

How much is the Cannabis market worth in Thailand?

The medical cannabis market in Thailand was valued at US$ 122.1 Million in 2022, the market is projected to reach US$ 1,408.0 Million by 2028, with a significant growth rate (CAGR) of 53.2% during the period from 2023 to 2028.

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